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7 out of 8 XRP Metrics Are Plummeting: What's Happening?
XRP is facing a sharp downturn, with seven out of eight key on-chain metrics showing significant declines. While the asset has demonstrated resilience in the past, the current state of the XRP network raises concerns among investors and analysts alike. The downtrend is also reflected in the price chart, which suggests that XRP is struggling to hold key support levels.
There is cause for concern regarding the asset's overall engagement as XRP's on-chain metrics indicate a noticeable drop in network activity. Over the past month, there has been a steady decline in the total number of payments made between accounts, indicating a slowdown in transaction volume. This is further supported by a declining payment volume, which suggests that there is less of a need for XRP in daily transactions.
Furthermore, fewer unique senders are taking part in the ecosystem due to the decline in active accounts, which may indicate waning user interest. In addition to transactional activity, a decrease in the overall quantity of XRP burned as fees suggests that network congestion is also lessening. This points to a more underutilized network due to a decreased demand for transaction processing.
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XRPās price is currently hovering around $2.48, showing signs of weakness as it struggles to maintain an upward trajectory. The asset recently broke below an ascending trendline, which previously served as strong support. With the 50-day EMA acting as resistance near $2.69, XRP now faces an uphill battle to regain momentum.
The next major support level lies around $2.29, and if XRP fails to hold this level, it could risk further downside toward $1.76. On the upside, a breakout above $2.73 would be needed to restore confidence among investors.
The dwindling on-chain activity raises concerns about the long-term sustainability of XRPās adoption. While the network remains functional, reduced usage could lead to prolonged price stagnation. However, if broader market sentiment improves and XRP can reclaim its lost momentum, a reversal is still possible.
There is cause for concern regarding the asset's overall engagement as XRP's on-chain metrics indicate a noticeable drop in network activity. Over the past month, there has been a steady decline in the total number of payments made between accounts, indicating a slowdown in transaction volume. This is further supported by a declining payment volume, which suggests that there is less of a need for XRP in daily transactions.
Furthermore, fewer unique senders are taking part in the ecosystem due to the decline in active accounts, which may indicate waning user interest. In addition to transactional activity, a decrease in the overall quantity of XRP burned as fees suggests that network congestion is also lessening. This points to a more underutilized network due to a decreased demand for transaction processing.
card
XRPās price is currently hovering around $2.48, showing signs of weakness as it struggles to maintain an upward trajectory. The asset recently broke below an ascending trendline, which previously served as strong support. With the 50-day EMA acting as resistance near $2.69, XRP now faces an uphill battle to regain momentum.
The next major support level lies around $2.29, and if XRP fails to hold this level, it could risk further downside toward $1.76. On the upside, a breakout above $2.73 would be needed to restore confidence among investors.
The dwindling on-chain activity raises concerns about the long-term sustainability of XRPās adoption. While the network remains functional, reduced usage could lead to prolonged price stagnation. However, if broader market sentiment improves and XRP can reclaim its lost momentum, a reversal is still possible.
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